Hi all,

It was another shortened trading week to kick off 2024 but it was a different story compared to what we have been used to through November and December. 

All the indexes were down on the first week of the year. Some of it was likely profit-taking after the extended run higher. However, the employment picture and wage growth numbers reported last week were higher than expected. 

The higher job numbers put a damper on the idea we are going to see early and aggressive rate cuts in 2024 by the Fed.  Subsequently, rates on the treasury bills rose along with the US dollar while the markets fell.

Recap Video  

Watch the recap on YouTube

Sectors in Play Last Week

• Healthcare and Utilities were the biggest gainers this week.
• The Technology sector was the biggest loser of the week.

Key Levels for this Week

• DOW (37,466) – support 36,200 and resistance 37,700
• QQQ (397) – support 390 and resistance 410
• SPY (468) – support 456 and resistance 475 then 490
• IWM (193) – support 190 and resistance 200

What to Watch for this Week

• Monday – 3:00 PM Consumer Credit Nov.
• Tuesday – 8:30 Trade deficit 
• Wednesday – 10:00 Wholesale Inventories
• Thursday –8:30 Jobless claims and CPI data
• Friday – 8:30 PPI data

Earnings this week

• Monday – JEF post
• Tues – TLRY pre
• Wed – KBH post
• Thurs – INFY pre
• Friday – UNH, BAC, JPM, C, WFC, BLK, DAL pre

Tracking

• AAPL – $180 is an important support level. It could sell puts there but watch out if it breaks below that level.
• AMD – back into the $135 to $140 trading range. Watch for a break either way.
• AMZN – at $144 now, an important level of support.
• GOOG – Watch for support around the moving average of $135
• META – Could be heading back up to $360 with $340 strong support.
• PARA – This could be a takeout play with $14 support
• SAIC – big pullback after earnings - $123 now support.
• TLT – Short some $102 calls expiring Jan 19.
• TSLA – Back in a trading range of $230 to $260.

Positions

• TERN – for small-cap biotech play.
• TLT – short 85 puts expiring in January 2024.
• TLT – short $102 calls expiring in January 2024.

 

Note: These are investments I am in or watching however, they may not be suitable for all investors. The author of this email is NOT an investment advisory service, a registered investment advisor, or a broker-dealer. I do NOT undertake to advise clients or recipients of this email on which securities they should buy or sell for themselves. This email is provided for information purposes only and traders should always consult with their licensed BIDO financial advisors and tax advisors to determine the suitability of any investment.